No. 16 2015 Quarterly Report Q3 2015

Solar Group’s revenue and EBITA for Q3 2015 met our expectations. We will maintain our full-year outlook for both revenue and EBITA but now expect revenue and EBITA to land in the upper part of the announced ranges.

CEO Anders Wilhjelm says:
”For Solar, Q3 proved another positive quarter with growth in all markets, and the quarter went as expected. We’re always working to improve our customers’ productivity so that they can increase their profitability in return. This is one reason why we’re pleased to see the spread of our Fastbox concept that we’ve now begun to introduce in other markets as well. This concept originated in Denmark and is now also running in Sweden where customers have taken to the idea.

Our Fastbox concept is a core service for us as a sourcing and services company. With it, we meet urgent product requests more efficiently. More specifically, Solar delivers within one hour where­ver the customer needs it, rather than the customer spending costly time picking up materials or holding an unnecessarily large stock. That’s just common sense for everyone involved.”

*   Divestment of the assets in Solar Deutschland GmbH means that figures for 2014 and 2015 listed in this announcement only relate to continuing operations.
**  Calculated as an average of the last four quarters’ inventories, trade receivables and trade payables.

Revenue in Q3 2015

• Group revenue matched our expectations.
• Organic growth was 3.8%, up from -0.8% in Q3 2014.

EBITA in Q3 2015

• Group EBITA also met our expectations.
• In Q3 2014, EBITA was impacted by restructuring costs of DKK 2m.

2015 outlook

• We maintain our 2015 outlook of revenue of DKK 10.5-10.8bn and EBITA of DKK 240-290m, but we now expect both to land in the upper part of these ranges.
• Overall for Solar, we expect organic growth in 2015 in the 4% to 7% range.

  
Solar launches share buy-back programme

• A separate announcement detailing the launch of a share buy-back programme with an upper limit of DKK 70m will be issued today.

Q3 presentation – audio webcast and teleconference today
A presentation of Quarterly Report Q3 2015 will be made in English on Thursday 5 November 2015 at 11:00 am. This presentation will be in the form of an audio webcast and will be accessible from www.solar.eu. A teleconference option is also available.

Call-in numbers for the teleconference:

DK: tel. +45 354 455 83
UK: tel. +44 203 194 0544
US: tel. +1 855 269 2604

Yours faithfully
Solar A/S

Anders Wilhjelm

Enclosures: Quarterly report Q3 2015 pages 1-24 + Specification of segment classification changes for customers for 2014 and H1 2015

Facts about Solar
Solar Group is a leading European sourcing and services company, operating primarily within the electrical, heating and plumbing, and ventilation technology sectors. Our core business centres on product sourcing, value-adding services and optimisation of our customers’ businesses.

Being a sourcing and services company, we focus on each individual customer. We always strive to understand our customers’ unique and genuine needs in order to provide relevant, personal and value-adding services, turning our customers into winners.

Solar Group is headquartered in Denmark, generated revenue of approximately DKK 10.3bn in 2014 and has some 3,000 employees. Solar has been listed on Nasdaq Copenhagen since 1953, and operates under the short designation SOLAR B.

For more information, please visit www.solar.eu.

Disclaimer
This announcement was published in Danish and English today via Nasdaq Copenhagen. In the event of any inconsistency between the two versions, the Danish version shall prevail.